Dairy major Amul on Thursday said it will increase milk prices by up to Rs 2 per litre in Delhi and Gujarat due to increase in production cost.
Other milk producers may also follow the suit.
The new price will come into effect in Delhi market from Friday and in Ahmedabad and Saurashtra regions from June 4, Gujarat Cooperative Milk Marketing Federation (GCMMF) Managing Director R S Sodhi said.
Other district cooperatives in the state will roll out the new prices gradually, he said, adding that the dairy major is also mulling a hike for Maharashtra region.
GCMMF sells milk products under the Amul brand.
"In Delhi, we last raised the milk price 25 months ago in May 2014, and since then cost of production has gone up by 20%, while inflation is up 14%. Decision to increase the price was taken considering these facts," Sodhi told PTI.
With the price rise, Amul Gold milk will be available for Rs 50 per litre, while Amul Taaza, Shakti, and Trim and Slim will be available for Rs 38, Rs 46 and Rs 36 per litre, respectively, in Gujarat.
Sodhi said in Delhi-NCR milk prices would be raised by Re 1 per pouch of both half litre and one litre effective tomorrow.
Amul Slim & Trim (double toned milk) 500 ml pouch will be available for Rs 18. Amul Taza (toned milk) will be Rs 20 for 500 ml pouch and Rs 39 for one litre, Amul Gold (full cream milk) will be available at Rs 25 for 500 ml pouch and Rs 49 for one litre.
Amul Diamond (full cream premium milk) will cost Rs 26 for half a litre pouch.
The increase comes as milk cooperatives associated with GCMMF have seen 12-14% increase in procurement compared with the same time last year.
"We are getting around 60 lakh litres of milk per day, which is 12-14%more than the same time last year," he said, adding that the increase was necessitated keeping the interest of milk producers in mind.
Amul had increased milk prices in Gujarat in April last year, he said.
Surendranagar, Morbi, Rajkot, Bhavnagar, Junagadh, Devbhoomi-Dwarka, Gir-Somnath, Jamnagar, Amreli, and Botad districts fall in the Saurashtra region.
